Vitals has secured $41 million in funding from the Merchant Banking Division of Goldman Sachs and existing investors. The funds will support the continued expansion of the company’s health care price transparency and consumer engagement solutions that will “transform the way consumers shop for health care providers.”
Founded in 2007 as a health care provider search engine, Vitals has since evolved into a full transparency and engagement platform that helps consumers understand their health care choices and reduce overall spend. The company distributes its solutions through health plans, employers and its own website, vitals.com.
“We chose to partner with Goldman because they have deep experience and understanding of the healthcare market and have a track record of being strategic partners for growth,” said Heyward Donigan, CEO of Vitals. “Their investment and guidance will help us advance our solutions and deliver on our mission to empower everyone to shop for health care like an expert.”
Vitals partners with health plans and employers to help them reduce health care spend and to create a competitive healthcare marketplace for consumers.New-York based Allen & Company LLC acted as Vitals’ financial advisor for the transaction, while Lowenstein Sandler LLC provided legal counsel. Goodwin Procter provided legal counsel to Goldman Sachs.
In October 2014, Vitals acquired Compass Healthcare Advisers, which offers patients cash incentives if they opt to get medical care from lower-cost health care providers.
Goldman Sachs’ previous investments in digital health include online/mobile doctor-booking platform ZocDoc, innovative insurance provider Oscar, China’s quick-booking service Guahao, and health IT solution firm DrFirst.